Canadian shares gained for a second day after the World Bank issued a rosy outlook for global economic growth, which might benefit Canada's commodity exports.
The resource-heavy benchmark Standard & Poor’s/TSX Composite Index (TSE:OSPTX) rose 0.6 percent to 13,767.94 at 11:43 a.m. in Toronto. Almost three shares gained for every stock that lost.
The World Bank raised its outlook for global growth for the first time in three years as advanced economies started to pick up pace, led by the U.S.
The materials sub-index, which includes mining shares, gained 1 percent as copper prices advanced in London on speculation that an improving global economy will increase demand.
Copper Mountain Mining Corp. (TSE:CUM), a junior Canadian miner operating in British Colombia, advanced 4.4 percent to $1.65 after reporting improved production in the fourth quarter.
Copper for delivery in three months gained 1 percent to $7,351.25 a metric ton at 4:48 p.m. on the London Metal Exchange.
Barrick Gold Corp. (TSE:ABX), the world’s largest producer of the metal, gained 1.3 percent to C$19.75.
The financials group, which accounts for 35 percent of the main measure, more than any other group, added 0.5 percent. Royal Bank of Canada (TSE:RY), which has the heaviest weighting in the index, edged up 0.3 percent to C$71.14. Toronto-Dominion Bank (TSE:TD), the second-largest, gained 0.6 percent to $97.84.
The energy sector, the main index's second most heavily weighted group, increased 0.3 percent as oil, Canada’s largest export, rallied after a government report showed that U.S. inventories tumbled to the lowest level in almost 22 months.
Suncor Energy Inc. (TSE:SU), the nation's largest energy company by market value, rose 0.6 percent to C$37.46. Enbridge Inc. (TSE:ENB), Canada's largest pipeline company, inched up 0.1 percent to C$46.60.
West Texas Intermediate crude for February delivery jumped 1.8 percent to $94.23 a barrel at 11:37 a.m. on the New York Mercantile Exchange.
In other stocks, Magna International Inc. (TSE:MG), North America’s largest auto-parts supplier, gained 1.4 percent, reversing earlier losses, even as the company forecast 2014 sales below analysts' expectations due to lower revenue in its complete vehicle-assembly business.
Sirius XM Canada Holdings Inc. (TSE:XSR), a satellite-radio company, slumped 5.2 percent to $9.26 even as it said its first-quarter earnings rose over 7 and revenue climbed 11 percent to C$76.4 million.
DragonWave Inc. (TSE:DWI), a telecom tech firm, surged 17 percent to $1.81 after unveiling an agreement to sell its services into the Chinese market.
The junior S&P/TSX Venture Composite Index (CVE:OSPVX) advanced 0.5 percent at 12:05 in Toronto. Africa Oil Corp. (CVE:AOI), the heaviest stock in the gauge, gained 2.6 percent to C$9.79.
In economic news, the nation's existing home sales fell in December for a third month as the real estate market ended the year on a soft note after surging for much of 2013. Sales fell 1.8 percent in December from the previous month, the Canadian Real Estate Association said today.
In currency, the Canadian dollar touched a four-year low for a second day amid bets the central bank may signal at a meeting next week the need for lower interest rates amid faltering economic growth. The loonie depreciated as much as 0.4 percent to C$1.0991 per U.S. dollar.
In the U.S., equities rose as the World Bank raised its global growth outlook. The S&P 500 (INDEXSP:.INX) rose 0.6 percent at 11:17 a.m. in New York. The 30-member Dow Jones Industrial Average (INDEXDJX:.DJI) gained 0.8 percent and the tech-heavy Nasdaq Composite (INDEXNASDAQ:.IXIC) added 0.7 percent. Most followed shares in the U.S. included General Motors, Bank of America, Tesla Motors, Apple, Aeropostale, Fastenal, Datalink, Aetna and Comcast.
Reported by Proactive Investors 6 hours ago.
The resource-heavy benchmark Standard & Poor’s/TSX Composite Index (TSE:OSPTX) rose 0.6 percent to 13,767.94 at 11:43 a.m. in Toronto. Almost three shares gained for every stock that lost.
The World Bank raised its outlook for global growth for the first time in three years as advanced economies started to pick up pace, led by the U.S.
The materials sub-index, which includes mining shares, gained 1 percent as copper prices advanced in London on speculation that an improving global economy will increase demand.
Copper Mountain Mining Corp. (TSE:CUM), a junior Canadian miner operating in British Colombia, advanced 4.4 percent to $1.65 after reporting improved production in the fourth quarter.
Copper for delivery in three months gained 1 percent to $7,351.25 a metric ton at 4:48 p.m. on the London Metal Exchange.
Barrick Gold Corp. (TSE:ABX), the world’s largest producer of the metal, gained 1.3 percent to C$19.75.
The financials group, which accounts for 35 percent of the main measure, more than any other group, added 0.5 percent. Royal Bank of Canada (TSE:RY), which has the heaviest weighting in the index, edged up 0.3 percent to C$71.14. Toronto-Dominion Bank (TSE:TD), the second-largest, gained 0.6 percent to $97.84.
The energy sector, the main index's second most heavily weighted group, increased 0.3 percent as oil, Canada’s largest export, rallied after a government report showed that U.S. inventories tumbled to the lowest level in almost 22 months.
Suncor Energy Inc. (TSE:SU), the nation's largest energy company by market value, rose 0.6 percent to C$37.46. Enbridge Inc. (TSE:ENB), Canada's largest pipeline company, inched up 0.1 percent to C$46.60.
West Texas Intermediate crude for February delivery jumped 1.8 percent to $94.23 a barrel at 11:37 a.m. on the New York Mercantile Exchange.
In other stocks, Magna International Inc. (TSE:MG), North America’s largest auto-parts supplier, gained 1.4 percent, reversing earlier losses, even as the company forecast 2014 sales below analysts' expectations due to lower revenue in its complete vehicle-assembly business.
Sirius XM Canada Holdings Inc. (TSE:XSR), a satellite-radio company, slumped 5.2 percent to $9.26 even as it said its first-quarter earnings rose over 7 and revenue climbed 11 percent to C$76.4 million.
DragonWave Inc. (TSE:DWI), a telecom tech firm, surged 17 percent to $1.81 after unveiling an agreement to sell its services into the Chinese market.
The junior S&P/TSX Venture Composite Index (CVE:OSPVX) advanced 0.5 percent at 12:05 in Toronto. Africa Oil Corp. (CVE:AOI), the heaviest stock in the gauge, gained 2.6 percent to C$9.79.
In economic news, the nation's existing home sales fell in December for a third month as the real estate market ended the year on a soft note after surging for much of 2013. Sales fell 1.8 percent in December from the previous month, the Canadian Real Estate Association said today.
In currency, the Canadian dollar touched a four-year low for a second day amid bets the central bank may signal at a meeting next week the need for lower interest rates amid faltering economic growth. The loonie depreciated as much as 0.4 percent to C$1.0991 per U.S. dollar.
In the U.S., equities rose as the World Bank raised its global growth outlook. The S&P 500 (INDEXSP:.INX) rose 0.6 percent at 11:17 a.m. in New York. The 30-member Dow Jones Industrial Average (INDEXDJX:.DJI) gained 0.8 percent and the tech-heavy Nasdaq Composite (INDEXNASDAQ:.IXIC) added 0.7 percent. Most followed shares in the U.S. included General Motors, Bank of America, Tesla Motors, Apple, Aeropostale, Fastenal, Datalink, Aetna and Comcast.
Reported by Proactive Investors 6 hours ago.